Colorado Law Now Requires Marijuana Transporters be Licensed to Move Product

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Recently, Colorado House Bill 16-1211 was signed into law requiring medical and recreational marijuana transporters to hold a state issued licensed.  Using company vehicles, these businesses provide transportation of cannabis product from licensees and may offer the ability to store product at their business location or distribution point. 

Colorado House Bill 16-1211 Marijuana Transporter Insurance[/caption]As a condition of their license, a transporter must have insurance.  The law is silent as to the type of insurance, but in our opinion the purchase of commercial automobile insurance would be a minimum requirement with possibly commercial liability and property insurance particularly if the licensee maintains a storage or distribution facility.

A question that should be raised is how will the cannabis product be insured or covered during transportation or storage?  This will be a difficult issue to address through insurance as carriers offering commercial automobile or business property have avoided insuring the property of others when ...more